Why Wal-Mart and Texas Are Headed for an Epic Showdown

TIME

No state is more “real America” than Texas. No retailer is more “real America” than Wal-Mart. And no political opinion is more “real America” than “regulation bad.”

So it might come as something of a shock to learn that Wal-Mart stores in Texas are forbidden by law from selling booze—anything other than beer and wine. Wal-Mart is paying trial lawyers to sue the Texas Alcoholic Beverage Commission in the U.S. District Court in Austin, challenging the law that forbids all publicly held corporations, hotels excepted, from selling hooch. The law violates the U.S. Constitution, Wal-Mart argues.

“One class of retailers—public corporations—[is] denied an opportunity to compete in the distilled spirits market, while another class of retailers—private corporations and publicly traded hotel corporations—are allowed to compete without similar restriction,” Wal-Mart argues in the lawsuit. “No other state in the nation allows private corporations to engage in the retail sale of spirits…

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